The Civil Aviation Authority launched an investigation into eDreams and Opodo in December last year

Two travel firms have updated their websites to improve clarity and price transparency after fears that consumers were being misled.

The Civil Aviation Authority (CAA) launched an investigation into eDreams and Opodo in December last year amid concerns about the way prices were presented and uncertainty about which company people were booking with.

Following the inquiry, both businesses have changed their websites to address the issues, the regulator has announced.

Last year Ryanair claimed eDreams was conning consumers into mistakenly believing they were booking flights direct with the carrier.

The Dublin-based airline said that searches for Ryanair on Google could result in a paid advert for eDreams at the top of the page, which it described as a link to a "copycat website with identical Ryanair branding in order to deceive consumers".

Richard Moriarty, the CAA's director of consumers and markets group, said: "Consumers spend a lot of time and money choosing and booking their holiday and have the right to clear and accurate information about how much they will have to pay and which company they are booking with.

"There are clear regulations in place for that very reason.

"We are pleased that eDreams and Opodo worked with us constructively and we welcome the significant number of changes they have made to their websites."

Mr Moriarty said the amendments will make it "much simpler" for consumers to see the actual price of flights and holidays displayed on the sites, enabling them to compare options more easily.

He warned that the CAA will continue to monitor airlines and travel companies to ensure consumers have access to clear and accurate information on prices.

Opodo and eDreams issued a joint statement which said: "We are focused on making it as quick and easy as possible for the 17 million customers who book with us every year to find the best value and most convenient travel options.

"We have been working closely with the Civil Aviation Authority and we're pleased that they recognise the work we have done to make our customer experience smoother and clearer.

"We are now offering a new price display so that our customers can more easily compare the prices of their travel options, to continue getting the best and most convenient deals."